Please answer only #4. There are 4 errors along with an ASC reference.

GENERAL MANUFACTURERS INC. purchased and installed a large piece of equipment at the beginning of 2021 and capitalized a cost of $3,174,000. This initial capital cost in General's books included the following expenditures. Purchase price Freight charges Installation charges Annual maintenance contract Total $ 2,820,000 27,000 17,000 310,000 $ 3,174,000 GENERAL estimated a five-year useful life for the equipment and used sum-of-the-years digits depreciation. Because of the nature of the equipment, it has no residual value The sum-of-the-years digits method was used by the company to determine depreciation expense for all equipment for 2019 and 2020. In mid-2021, after the 2020 financial statements were issued, the company decided to switch to the units of production method of depreciation for all equipment, including the newly acquired equipment. At that time, the company's controller discovered that the original cost of the equipment incorrectly included a five-year prepaid al maintenance contract for the equipment Additionally, the purchase price ($2,820,000) included freight and insurance charges as the machine was shipped FOB destination and those costs totaling $53,000 were paid far by the vendor Required: Use the Accounting Standards Codification system to search for an answer to each question listed below. No computations or journal entries are needed in answering these questions. Type your concise answers in the space provided and upload your completed document (MS Word) in the assignment area in Brightspace Question/ What is an appropriate ASC Your Answer reference for your answer I Should the freight charges associated with General's appuntpwchase be capitalized or apetsed? Notr that the equipments shipped FOB destination. Use the space below to Wer Jou question. Make sure to list ehe ASC reference(s) for your swer in the ASC reference colume The freight charges should be capitalized. The freight charges are incurred to ASC 835-20-05-01 bring the asset to use 2 Should the charge for the entral RACE CORD act de capitalized or expensed? Make sure to listos ASC reference for you are in the ASC reference.com The annual maintenance charges should be expensed. The expenses are incurred ASC 335-20-05-01 to maintain the asset, not bring the asset to use. 3. How should General account for the change in depreciation murokod? Retrospetiveh or Prospectively Make sure to lise de SC rene for your in the ASC reference com A change in the method of depreciation would also mean a change in the ASC 250-10-05-04 estimates. The GA should prospectively account for the change. * How should General Account for errors included in the original capitalized cost of the man Retrospectively or Prospectively. Make to lur dhe ASC references) for your Exer in de ASC reference column. You must listiny form each error that CITA Litrary arrers you identify and briefly indicate whether it should be accounted for retrospectly or prospectively. Naber de morrer shown below. ASC b Error No. 1 Emor No. 2 Error No 3